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India's Hiring Pace Hits New Bottleneck
6 Sep
Summary
- Hiring decision time dropped to 46 days in FY26.
- Notice periods average 30-33 days, delaying joiners.
- Specialized tech roles, like AI, see longer hiring times.
Hiring experts observe that Indian companies are accelerating their decision-making processes. The average time to extend a job offer has decreased to 46 days in FY26, an improvement from 53 days in FY25. However, this efficiency is hampered by persistent long notice periods and a shortage of specialized professionals.
The gap between an offer acceptance and an employee's start date remains substantial, averaging 30-33 days. Approximately 29-31% of hires still require 60 days or more to join. This delay introduces risks like counteroffers and candidate drop-offs for employers.
This challenge is especially evident in specialized technology roles like AI and data science, where hiring volumes have surged by 48% year-over-year. The time to hire for these positions has consequently increased from 38 to 63 days, indicating a growing demand that outpaces the availability of immediately joinable talent.
Global Capability Centers (GCCs) face even longer delays, with notice periods averaging 41-42 days, contributing to a rise in hires taking over 60 days to join. This is partly attributed to GCCs often recruiting senior professionals from larger firms with extended contractual notice periods.
While India benefits from a large talent pool, the velocity of acquiring scarce capabilities in areas like AI, data science, and cybersecurity is becoming critical. Long notice periods can slow down the deployment of these essential skills, impacting business productivity and global competitiveness.
